Insurance cancelled after I've paid the prmiums?

SonOf

That's absolutely true of course but it's missing the point... the point is that in any other industry there's a general acceptance that if one person sticks to their side of an agreement, the other party will honour their side.

These plans are annually renewing. Not for life.

Customers can spend decades (literally decades) investing in a financial product - but when a time comes where they might benefit from that investment, the finance company will use every trick in the book to avoid its obligations (including simply cancelling the contract).

You are not investing in these plans. They are pay as you go. Each monthly premium gives you cover that month. Nothing builds over time.

johne53

Takmon wrote: »

I can give many examples of other industry where this happens if you think this only happens in the financial services sector:

-Mobile phone tariffs quite often come to an end and people either have to move to another one or they are not renewed at the end of the term
-TV packages such as Sky for example; people on Sky Analog were unable to renew their contracts when the service ended unless they changed to Sky Digital.
-Magazine Subscriptions coming to an end when the magazine is discontinued.
-DVD rental services such as Lovefilm coming to an end.

There are so many examples of products where people pay for many years which come to an end that i'm surprised you don't know this.

But for all the items you've listed you're buying something which you wish to benefit from, there and then. Insurance is different. With insurance you're paying for something which (you hope) you'll never need the use of. And the insurer is selling you peace of mind (in the form of a benefit which you'll get from them if you ever do need the use of it). So to me, it seems unreasonable that insurers can withdraw that benefit, just when you get to the stage where you might need it.

Quentin

You are misunderstanding - the policy that is ending lasts a year!


You were miss sold if they told you that it would last till you decided when you wanted to stop!


(But as already advised it didn't!)


Think you got to get over this - all down to your misunderstanding of the product you bought

SonOf

So to me, it seems unreasonable that insurers can withdraw that benefit, just when you get to the stage where you might need it.

Go and buy a different one then if you really want one of these awful plans.

I used to like Pacer mints. However, they were withdrawn. Now I have to buy other mints. Fact of life. Not unreasonable.

johne53

But Pacer mints aren't a form of insurance! The whole point with insurance is that you're making ongoing payments to protect you against an event which might happen at some unknown point in the future. Except by mutual agreement, an insurer should not be able to withdraw that protection if you've kept up your payments (esp. if you've kept them up for decades...)

lisyloo

johne53 wrote: »

But Pacer mints aren't a form of insurance! The whole point with insurance is that you're making ongoing payments to protect you against an event which might happen at some unknown point in the future. Except by mutual agreement, an insurer should not be able to withdraw that protection if you've kept up your payments (esp. if you've kept them up for decades...)

I don’t think you enter into an infinite contract.
It’s for a set period of time, usually annually.

Both sides can pull out of any contract, sometimes with penalties.

Quentin

johne53 wrote: »

....

an insurer should not be able to withdraw that protection if you've kept up your payments (esp. if you've kept them up for decades...)

The thread replies have sound advice on your issue, and have all tried explaining things to you to clear up any ignorance over how an annual policy works

It seems like you are really wanting a rant against annual insurance policies!

Maybe the rant/vent forum would be a better place to post this

Old_Lifer

Your posts indicate that you do not fully understand how the policy works.


Would it be fair to say that you are equally insure about how the life policy works? It is a commonly found condition that an MVA is not applied on death or maturity.


We do not know the full story so can only guess. Was it a unit-linked policy where the unit price fell in the final year and the payout was less than indicated on an earlier annual statement and did you assume (wrongly) that an MVA had been applied?


Although we do not have the full story here, the person who dealt with the complaint and who made the final decision would presumably have been in possession of all the facts and appears to have concluded that there was no wrongdoing and rejected the complaint.

SonOf

johne53 wrote: »

But Pacer mints aren't a form of insurance! The whole point with insurance is that you're making ongoing payments to protect you against an event which might happen at some unknown point in the future. Except by mutual agreement, an insurer should not be able to withdraw that protection if you've kept up your payments (esp. if you've kept them up for decades...)

And just as a packet of mints is for a limited period, the insurance you had was just for a limited period as well. 12 months to be exact.

What is your aversion to buying one of these plans from another provider?

Weighty1

SonOf wrote: »

And just as a packet of mints is for a limited period, the insurance you had was just for a limited period as well. 12 months to be exact.

What is your aversion to buying one of these plans from another provider?

Because he feels mugged off for not having anything back for the years he paid for it.

I wonder if he crashes his car annually to make sure he claims on the the car insurance? Same with his building/contents insurance? Boiler insurance......great, break the boiler each year and get it mended...... :wall: